Tag: Quantitative Easing

Mar 27

Bank of England undermines the Classic Money Creation Theory

“In exceptional circumstances, when interest rates are at their effective lower bound, money creation and spending in the economy may still be too low to be consistent with the central bank’s monetary policy objectives. One possible response is to undertake a series of asset purchases, or ‘quantitative easing’ (QE)… As a by-product of QE, new …

Continue reading